Officials Move to Close Cannabis Company
- barneyelias0
- 4 hours ago
- 2 min read
OG article By Ashley Southall
Oct. 21, 2025
Illegal Arrangement
Omnium let out-of-state companies use facilities.
Received rent and royalties.
Passed off work as own.
Called reverse licensing.
Banned in New York.
Raises safety concerns.
No proper oversight.
Major Recall
Office of Cannabis Management orders recall.
$30 million in products.
From Omnium sites.
Sold to licensed shops.
Charges Filed
Seek to revoke licenses.
For making and distributing.
Impose at least $1 million fine.
Ban from state.
Felicia A. B. Reid leads office.
Calls it blatant breach.
Licenses not transferable.
Only licensed operators produce.
Omnium can challenge in hearing.
Investigation Details
Eight-month probe.
Omnium as middleman processor.
Made own and others' products.
Ensnared brands: Stiiizy, Mfused, Grön.
Probe ongoing.
More cases possible.
Sales Impact
Jan. to Aug.: $65 million in sales.
From 17 brands at Omnium.
6.2% of New York's $1 billion market.
Per Headset data.
Fine could reach three to five times value.
Record for agency.
Company Background
Founded 2014.
Dietary supplements, cosmetics.
Hemp in 2018.
Cannabis in 2022.
Early licensed processor.
Featured in 2023 ad campaign.
For safe, legal buys.
Now face three-year ban.
Destroy all products.
Probe Start
April: Investigation begins.
Retailers pull $30 million products.
Mainly Stiiizy, Mfused.
Stores sold others like Grön, Cookies.
No records for production.
Per initial findings.
No evidence of unsafe products.
Retailers handle returns.
Reverse Licensing
Allowed in some states.
Common in industry.
Illegal in New York.
Levels field for new businesses.
Against deep-pocketed rivals.
Grön founder claims pioneer.
In Arizona, New Jersey, New York.
Cuts bureaucracy.
Jumps into markets.
Harder for oversight.
Brand Updates
Some brands left Omnium.
Stiiizy, Grön got own licenses.
Grön still rents space.
Stiiizy bought factory.
Mfused moved elsewhere.
Unclear on actions against them.
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